Divorce And Tax Effects

One of the last things people likely think about when they are trying to decide whether to file for divorce is the tax implications. However, the negative effects can be significant if you are not prepared for them.

Our lawyers here at Russell W. Ray, PLLC, in Fairfax County, Virginia, have spent years turning our law firm into one of Northern Virginia's best destinations for family law representation. They can use their experience and knowledge of the law to factor tax consequences into your divorce settlement and allow you to understand the effect a divorce will have on your taxes.

We Can Help You Figure Out What Is Taxable And What Is Not

Almost every aspect of your divorce will affect your next tax filing. For example:

  • Child support payments are not taxable income or deductible for the recipient and the payer, respectively.
  • Attorney fees related to child support, however, are tax deductible.
  • Spousal support recipients must report the income as taxable, and payers can deduct the expense, provided certain requirements are met.
  • A child custody order can affect which parent may claim the child on his or her tax return.
  • Property division will have tax implications, depending on if property or cash are transferred.

While we will be able to help you with many basic questions, we do not give out tax planning advice. However, we will be happy to refer to any number of experienced accountants to help you with your more specific needs.

Contact Russell W. Ray, PLLC, at 703-552-4028 if you would like to schedule a free consultation to discuss your divorce and its financial effects.